Would a Labour Government contemplate moving the tax bands?
We’ve already said we will study it and implement it when there is economic growth. You said earlier that when you were in Government 11 years ago the finances were different. Do you acknowledge that the finances are now on a sound basis? In terms of cash flow, yes. But in terms of how that cash flow is being generated it’s powerless. Much of our cash flow is based on huge tax increases. Five years ago, the Nationalists said there was a sound economy. Three months later they increased the VAT rate from 15 per cent to 18 per cent. That, and the other tax burdens they increased along the years led to an increase in the direct taxation burden on families and on financial enterprises of around Lm50 million to Lm60 million a year. That means we are a highly taxed society. Over the last three to four years the rate of growth of taxes was among the highest in the EU. There is a lot of talk about a potential coalition in the next Government. Are you ruling out a coalition with AD or AN? I don’
